Go-Ahead has lost the Southeastern rail franchise, repaid the government £25m owed under the contract and parted company with its finance chief.
The Department for Transport has appointed the Operator of Last Resort to run the Southeastern link from 18 October when the existing agreement with Go-Ahead expires, the company said.
The decision results from errors in the calculation of profit share for the franchise over a number of years. Go-Ahead has paid the government £25m and said it would give a detailed update about its liabilities with annual results.
The company has postponed those results, which were due on 30 September, and has not yet decided on a date. The results are in line with board expectations, Go-Ahead said.
After 13 years with the group, Elodie Brian has quit as chief financial officer with immediate effect. Gordon Boyd has joined the board as interim CFO while the company looks for a replacement. He has previously held senior financial jobs at Drax, Infinis and Capita.
Go-Ahead Chair Clare Hollingsworth said: “It has always been this group’s intention to provide the best possible public transport, and to work in partnership with the government and related agencies. We recognise that mistakes have been made and we sincerely apologise to the DfT. We are working constructively with the DfT towards a settlement of this matter.”
Shares of Go-Ahead fell 11.3% to 909.5p at 08:28 BST.
